Nasdaq#Market tiers

{{About|the stock exchange|the stock market index|Nasdaq Composite|the corporation that owns Nasdaq exchanges|Nasdaq, Inc.|the corporation's physical headquarters|Nasdaq MarketSite}}

{{Infobox exchange

| name = Nasdaq Stock Market

| logo = NASDAQ Logo.svg

| image = NASDAQ Composite Index.webp

| image_size = 300px

| type = Stock exchange

| city = New York City

| country = U.S.

| coordinates = {{coord|40.7565|N|73.98576|W|region:US-NY_type:landmark|display=inline, title}}

| foundation = {{Start date and age|1971|02|8}}

| owner = Nasdaq, Inc.

| listings = 3,890 (February 2025){{Cite web |title=Nasdaq Companies |url=https://www.nasdaq.com/market-activity/stocks/screener?page=1&rows_per_page=25 |access-date=February 20, 2025}}

| currency = United States dollar

| mcap = $30.13 trillion (November 2024){{cite web |title=Market Statistics - November 2024 |url=https://focus.world-exchanges.org/issue/january-2025/market-statistics |website=focus.world-exchanges.org |publisher=World Federation of Exchanges |access-date=September 18, 2024 |language=en |date=August 2024 |archive-date=March 18, 2024 |archive-url=https://web.archive.org/web/20240318174706/https://focus.world-exchanges.org/issue/february-2024/market-statistics |url-status=live }}

| homepage = {{URL|https://www.nasdaq.com/|nasdaq.com}}

|indexes = {{unbulleted list|Nasdaq-100|Nasdaq Financial-100|Nasdaq Composite}}

}}

[[File:Nasdaq compared to corporate profits.webp|thumb|right|Nasdaq compared to corporate profits

]]

The Nasdaq Stock Market ({{IPAc-en|audio=en-us-NASDAQ.ogg|ˈ|n|æ|z|d|æ|k}}; National Association of Securities Dealers Automated Quotations) is an American stock exchange based in New York City. It is the most active stock trading venue in the U.S. by volume,{{Cite web|title=U.S. Equities Market Volume Summary|url=https://www.cboe.com/us/equities/market_share/|access-date=December 10, 2022|archive-date=December 10, 2022|archive-url=https://web.archive.org/web/20221210125708/https://www.cboe.com/us/equities/market_share/|url-status=live}} and ranked second on the list of stock exchanges by market capitalization of shares traded, behind the New York Stock Exchange.{{Cite web |title=Monthly Reports |url=http://www.world-exchanges.org/statistics/monthly-reports |url-status=dead |archive-url=https://web.archive.org/web/20140817220823/http://www.world-exchanges.org/statistics/monthly-reports |archive-date=August 17, 2014 |department=World-Exchanges.org |publisher=World Federation of Exchanges}} The exchange platform is owned by Nasdaq, Inc. (which the exchange also lists (ticker symbol NDAQ)),{{Cite web |title=Nasdaq – Business Solutions & Services |url=http://www.business.nasdaq.com |url-status=dead |archive-url=https://web.archive.org/web/20161020164343/http://business.nasdaq.com/ |archive-date=October 20, 2016 |access-date=June 16, 2016 |website=nasdaq.com }} which also owns the Nasdaq Nordic stock market network and several U.S.-based stock and options exchanges. Although it trades stock of healthcare, financial, media, entertainment, retail, hospitality, and food businesses, it focuses more on technology stocks. The exchange is made up of both American and foreign firms, with China and Israel being the largest foreign sources.{{Cite web |title=Fact Sheet U.S. – Israel Economic Relationship |url=https://il.usembassy.gov/our-relationship/policy-history/fact-sheet-u-s-israel-economic-relationship/ |website=United States embassy in Israel}}

History

=1972–2000=

File:NASDAQ.svg

"Nasdaq" (originally and still commonly spelled with all-capital letters as "NASDAQ") was initially an acronym for the National Association of Securities Dealers Automated Quotations.[http://www.nasdaq.com/help/helpfaq.stm Frequently Asked Questions. NASDAQ.com. NASDAQ, n.d. Web. December 23, 2001.] {{webarchive |url=https://web.archive.org/web/20100429200618/http://www.nasdaq.com/help/helpfaq.stm | date=April 29, 2010}} It was founded in 1971 by the National Association of Securities Dealers (NASD), now known as the Financial Industry Regulatory Authority (FINRA).{{Cite web |last=Terrell |first=Ellen |title=History of the American and Nasdaq Stock Exchanges |url=https://www.loc.gov/rr/business/amex/amex.html |url-status=live |archive-url=https://web.archive.org/web/20130414213410/http://www.loc.gov/rr/business/amex/amex.html |archive-date=April 14, 2013 |publisher=Library of Congress }} On February 8, 1971, the NASDAQ stock market began operations as the world's first electronic stock market. Initially it was a "quotation system" and not in and of itself a platform for electronic trading.{{Cite web |last=Kennon |first=Joshua |date=March 26, 2019 |title=What Is the NASDAQ? |url=https://www.thebalance.com/what-is-the-nasdaq-356343 |website=Dotdash |access-date=September 16, 2019 |archive-date=March 17, 2019 |archive-url=https://web.archive.org/web/20190317134734/https://www.thebalance.com/what-is-the-nasdaq-356343 |url-status=live }} The first company to trade on NASDAQ was Intel Corporation.

The NASDAQ Stock Market eventually assumed the majority of major trades that had been executed by the over-the-counter (OTC) system of trading, but there are still many securities traded in this manner. As late as 1987, the NASDAQ exchange was still commonly referred to as "OTC" in media reports{{Cite news |last=Gilpin |first=Kenneth N. |date=July 3, 1987 |title=Company News: An Erratic Quarter for Stock Markets |work=The New York Times |url=https://www.nytimes.com/1987/07/03/business/company-news-an-erratic-quarter-for-stock-markets.html |url-status=live |url-access=subscription |archive-url=https://web.archive.org/web/20170801050610/http://www.nytimes.com/1987/07/03/business/company-news-an-erratic-quarter-for-stock-markets.html |archive-date=August 1, 2017 |issn=0362-4331 }} and also in the monthly Stock Guides (stock guides and procedures) issued by Standard & Poor's Corporation.{{Cite book |last=Salinger |first=Lawrence M. |url=https://books.google.com/books?id=0Vh2AwAAQBAJ&q=nasdaq+OTC+in+stock+guides+issued+by++standard+and+poor%27s+corporation&pg=PA638 |title=Encyclopedia of White-Collar and Corporate Crime |date=June 14, 2013 |publisher=SAGE Publications |isbn=978-1-4522-7616-8 |language=en}} Over the years, it became more of a stock market by adding trade and volume reporting and automated trading systems. In 1981, NASDAQ traded 37% of the U.S. securities markets' total of 21 billion shares. By 1991, NASDAQ's share had grown to 46%.{{Cite news |last=Widder |first=Pat |date=May 24, 1992 |title=NASDAQ Has Eye On Next 100 Years |work=Chicago Tribune |url=https://www.mcall.com/news/mc-xpm-1992-05-24-2855271-story.html |access-date=September 16, 2019 |archive-date=April 29, 2022 |archive-url=https://web.archive.org/web/20220429130718/https://www.mcall.com/news/mc-xpm-1992-05-24-2855271-story.html |url-status=live }} In 1992, the NASDAQ Stock Market joined with the London Stock Exchange to form the first intercontinental linkage of capital markets.{{Cite book |last=Odekon |first=Mehmet |url=https://books.google.com/books?id=8O9nBwAAQBAJ&pg=PT1267 |title=Booms and Busts: An Encyclopedia of Economic History from the First Stock Market Crash of 1792 to the Current Global Economic Crisis: An Encyclopedia of Economic History from the First Stock Market Crash of 1792 to the Current Global Economic Crisis |date=March 17, 2015 |publisher=Routledge |isbn=9781317475750 |archive-url=https://web.archive.org/web/20170803133123/https://books.google.com/books?id=8O9nBwAAQBAJ&pg=PT1267&lpg=PT1267&dq=Nasdaq+Stock+Market+the+london+Stock+exchange+1992#v=onepage&q=Nasdaq%20Stock%20Market%20the%20london%20Stock%20exchange%201992&f=false |archive-date=August 3, 2017 |url-status=live }}

In 1996, the SEC issued a report alleging that NASDAQ market makers fixed prices by avoiding "odd-eighths" quotes (at the time, stock prices were quoted in increments of an eighth of a dollar) to artificially widen spreads. The report was followed by a new set of rules for how NASDAQ handled orders.{{cite book |title = Dark Pools: High-Speed Traders, A.I. Bandits, and the Threat to the Global Financial System |last = Patterson |first = Scott |year = 2012 |publisher = Crown Publishing |isbn = 978-0307887177}}{{rp|102, 126}}

In 1998, it became the first stock market in the United States to trade online, using the slogan "the stock market for the next hundred years".{{Cite web |title=Feb 8, 1971 CE: 'Stock Market for the Next 100 Years' Opens |url=https://www.nationalgeographic.org/thisday/feb8/stock-market-next-100-years-opens/ |url-status=dead |archive-url=https://web.archive.org/web/20160719000823/http://nationalgeographic.org/thisday/feb8/stock-market-next-100-years-opens/ |archive-date=July 19, 2016 |access-date=September 16, 2019 |publisher=National Geographic}} The NASDAQ Stock Market attracted many companies during the dot-com bubble.

Its main index is the NASDAQ Composite, which has been published since its inception. The QQQ exchange-traded fund tracks the large-cap NASDAQ-100 index, which was introduced in 1985 alongside the NASDAQ Financial-100 Index, which tracks the largest 100 companies in terms of market capitalization.

=2000–present=

Image:Nasdaq Composite dot-com bubble.svg, the NASDAQ Composite index spiked in the late 1990s. It then fell sharply as the bubble burst.]]

File:NASDAQ Market Site 201506.jpg

On March 10, 2000, the NASDAQ Composite stock market index peaked at 5,132.52, but fell to 3,227 by April 17,{{Cite web |title=NASDAQ Composite daily index |url=http://www.econstats.com/eqty/eq_d_mi_7.htm |url-status=live |archive-url=https://web.archive.org/web/20101122115756/http://www.econstats.com/eqty/eq_d_mi_7.htm |archive-date=November 22, 2010 }} and, in the following 30 months, fell 78% from its peak.{{Cite news |last=Glassman |first=James K. |date=February 11, 2015 |title=3 Lessons for Investors From the Tech Bubble |work=Kiplinger's Personal Finance |url=http://www.nasdaq.com/article/3-lessons-for-investors-from-the-tech-bubble-cm443106 |url-status=live |archive-url=https://web.archive.org/web/20170415200655/http://www.nasdaq.com/article/3-lessons-for-investors-from-the-tech-bubble-cm443106 |archive-date=April 15, 2017 }}

In a series of sales in 2000 and 2001, FINRA sold its stake in the NASDAQ. On July 2, 2002, NASDAQ, Inc. became a public company via an initial public offering.{{Cite web |title=INVESTOR FAQS |url=http://ir.nasdaq.com/resources/investor-faqs |publisher=Nasdaq |access-date=September 16, 2019 |archive-date=September 30, 2019 |archive-url=https://web.archive.org/web/20190930234214/http://ir.nasdaq.com/resources/investor-faqs |url-status=live }} In 2006, the status of the NASDAQ Stock Market was changed from a stock market to a licensed national securities exchange.{{Cite web |last=Walsh |first=Michelle |title=Nasdaq Stock Market Becomes A National Securities Exchange; Changes Market Designations |url=http://www.gfrlaw.com/pubs/GordonPubDetail.aspx?xpST=PubDetail&pub=109 |url-status=live |archive-url=https://web.archive.org/web/20131217225809/http://www.gfrlaw.com/pubs/GordonPubDetail.aspx?xpST=PubDetail&pub=109 |archive-date=December 17, 2013 }} In 2007, it merged with OMX, a leading exchange operator in the Nordic countries, expanded its global footprint, and changed its name to the NASDAQ OMX Group.{{Cite news |last1=Lucchetti |first1=Aaron |last2=MacDonald |first2=Alistair |date=May 26, 2007 |title=Nasdaq Lands OMX for $5.7 Billion; Are More Merger Deals on the Way? |work=The Wall Street Journal |url=https://www.wsj.com/articles/SB118007353287814521 |url-status=live |archive-url=https://web.archive.org/web/20170731070747/https://www.wsj.com/articles/SB118007353287814521 |archive-date=July 31, 2017 |issn=0099-9660 }}

To qualify for listing on the exchange, a company must be registered with the United States Securities and Exchange Commission (SEC), must have at least three market makers (financial firms that act as brokers or dealers for specific securities) and must meet minimum requirements for assets, capital, public shares, and shareholders.

In February 2011, in the wake of an announced merger of NYSE Euronext with {{Lang|de|Deutsche Börse|italic=no}}, speculation developed that NASDAQ OMX and Intercontinental Exchange (ICE) could mount a counter-bid of their own for NYSE. NASDAQ OMX could be{{When|date=October 2016}} looking to acquire the American exchange's cash equities business, ICE the derivatives business. At the time, "NYSE Euronext's market value was $9.75 billion. NASDAQ was valued at $5.78 billion, while ICE was valued at $9.45 billion."De la Merced, Michael J., [https://dealbook.nytimes.com/2011/02/18/nasdaq-and-ice-hold-talks-over-potential-n-y-s-e-bid/?hp "Nasdaq and ICE Hold Talks Over Potential N.Y.S.E. Bid"] {{webarchive| url=https://web.archive.org/web/20120120003131/http://dealbook.nytimes.com/2011/02/18/nasdaq-and-ice-hold-talks-over-potential-n-y-s-e-bid/?hp |date=January 20, 2012 }}, The New York Times Dealbook, February 18, 2011. Late in the month, NASDAQ was reported to be considering asking either ICE or the Chicago Mercantile Exchange to join in what would probably have to be, if it proceeded, an $11–12 billion counterbid.Fraser, Michelle E., [https://www.bloomberg.com/news/2011-02-26/nasdaq-may-ask-cme-or-ice-for-help-in-nyse-counterbid-wsj-says.html "Nasdaq May Ask CME or ICE for Help in NYSE Counterbid, WSJ Says"] {{webarchive|url=https://web.archive.org/web/20140729220137/http://www.bloomberg.com/news/2011-02-26/nasdaq-may-ask-cme-or-ice-for-help-in-nyse-counterbid-wsj-says.html | date=July 29, 2014}}, Bloomberg News, February 26, 2011.

In December 2005, NASDAQ acquired Instinet for $1.9 billion, retaining the Inet ECN and subsequently selling the agency brokerage business to Silver Lake Partners and Instinet management.{{Cite press release |title=NASDAQ Completes Acquisition of Inet |date=December 8, 2005 |publisher=Nasdaq |url=http://ir.nasdaq.com/news-releases/news-release-details/nasdaq-completes-acquisition-inet |access-date=September 16, 2019 |archive-date=December 4, 2019 |archive-url=https://web.archive.org/web/20191204200708/http://ir.nasdaq.com/news-releases/news-release-details/nasdaq-completes-acquisition-inet |url-status=live }}{{Cite news |last=Authers |first=John |date=December 8, 2005 |title=Nasdaq completes purchase of Instinet exchange |work=Financial Times |url=https://www.ft.com/content/3c0c61da-6841-11da-bfce-0000779e2340 |archive-url=https://ghostarchive.org/archive/20221210/https://www.ft.com/content/3c0c61da-6841-11da-bfce-0000779e2340 |archive-date=December 10, 2022 |url-access=subscription }}{{Cite news |date=April 22, 2005 |title=Nasdaq to Acquire Instinet in $1.9 Billion Deal |work=The New York Times |url=https://www.nytimes.com/2005/04/22/business/nasdaq-to-acquire-instinet-in-19-billion-deal.html |url-access=subscription |issn=0362-4331 |access-date=April 3, 2019 |archive-date=April 3, 2019 |archive-url=https://web.archive.org/web/20190403041828/https://www.nytimes.com/2005/04/22/business/nasdaq-to-acquire-instinet-in-19-billion-deal.html |url-status=live }}

The European Association of Securities Dealers Automatic Quotation System (EASDAQ) was founded as a European equivalent to the NASDAQ Stock Market. It was purchased by NASDAQ in 2001 and became NASDAQ Europe. In 2003, operations were shut down as a result of the burst of the dot-com bubble.{{Cite news |date=August 11, 2003 |title=Nasdaq Might Shut Down German Exchange |work=Deutsche Welle |url=https://www.dw.com/en/nasdaq-might-shut-down-german-exchange/a-945442 |access-date=September 16, 2019 |archive-date=December 4, 2019 |archive-url=https://web.archive.org/web/20191204200704/https://www.dw.com/en/nasdaq-might-shut-down-german-exchange/a-945442 |url-status=live }} In 2007, NASDAQ Europe was revived first as Equiduct and was acquired by Börse Berlin later that year.{{Cite web |title=Easdaq Makes A Comeback As Equiduct |url=http://www.securitiestechnologymonitor.com/supplements/20061231/19226-1.html |url-status=dead |archive-url=https://web.archive.org/web/20110106155659/http://www.securitiestechnologymonitor.com/supplements/20061231/19226-1.html |archive-date=January 6, 2011 |access-date=February 3, 2011 }}

On June 18, 2012, NASDAQ OMX became a founding member of the United Nations Sustainable Stock Exchanges Initiative on the eve of the United Nations Conference on Sustainable Development (Rio+20).{{Cite press release |title=Sustainable Stock Exchanges Initiative: Exchanges Listing Over 4,600 Companies Commit to Promoting Sustainability |date=June 18, 2012 |publisher=GlobeNewswire |url=http://inpublic.globenewswire.com/2012/06/18/Sustainable+Stock+Exchanges+Initiative+Exchanges+listing+over+4+600+companies+commit+to+promoting+sustainability+HUG1620418.html |access-date=September 16, 2019 |archive-date=December 6, 2019 |archive-url=https://web.archive.org/web/20191206171519/http://inpublic.globenewswire.com/2012/06/18/Sustainable%2BStock%2BExchanges%2BInitiative%2BExchanges%2Blisting%2Bover%2B4%2B600%2Bcompanies%2Bcommit%2Bto%2Bpromoting%2Bsustainability%2BHUG1620418.html |url-status=dead }}{{Cite news |last=Jungcurt |first=Stefan |date=June 29, 2012 |title=Five Stock Exchanges Commit to Promoting Sustainability |work=International Institute for Sustainable Development |url=http://sdg.iisd.org/news/five-stock-exchanges-commit-to-promoting-sustainability/ |access-date=September 16, 2019 |archive-date=December 6, 2019 |archive-url=https://web.archive.org/web/20191206171519/http://sdg.iisd.org/news/five-stock-exchanges-commit-to-promoting-sustainability/ |url-status=live }}

In November 2016, chief operating officer Adena Friedman was promoted to chief executive officer, becoming the first woman to run a major exchange in the U.S.{{Cite web |date=November 15, 2016 |title=Nasdaq's New CEO Attributes Her Success to an 'Eclectic' Career Path |url=http://fortune.com/2016/11/15/nasdaq-new-ceo-adena-friedman/ |url-status=live |archive-url=https://web.archive.org/web/20161117153717/http://fortune.com/2016/11/15/nasdaq-new-ceo-adena-friedman/ |archive-date=November 17, 2016 |website=Fortune }}

In 2016, Nasdaq earned $272 million in listings-related revenues.{{Cite news |last=Osipovich |first=Alexander |date=October 26, 2017 |title=Startup Exchange Cleared to Take on NYSE, Nasdaq for Stock Listings |work=The Wall Street Journal |url=https://www.wsj.com/articles/startup-exchange-cleared-to-take-on-nyse-nasdaq-for-stock-listings-1509010200 |url-status=live |url-access=subscription |archive-url=https://web.archive.org/web/20171026100518/https://www.wsj.com/articles/startup-exchange-cleared-to-take-on-nyse-nasdaq-for-stock-listings-1509010200 |archive-date=October 26, 2017 }}

In October 2018, the SEC ruled that the New York Stock Exchange and Nasdaq did not justify the continued price increases when selling market data.{{Cite news |last1=Osipovich |first1=Alexander |last2=Michaels |first2=Dave |last3=Morgenson |first3=Gretchen |date=October 16, 2018 |title=SEC Ruling Takes Aim at Stock-Exchange Profits |work=The Wall Street Journal |url=https://www.wsj.com/articles/sec-to-rule-nyse-nasdaq-didnt-justify-market-data-fee-increases-1539721232 |url-access=subscription |access-date=October 18, 2018 |archive-date=October 19, 2018 |archive-url=https://web.archive.org/web/20181019001901/https://www.wsj.com/articles/sec-to-rule-nyse-nasdaq-didnt-justify-market-data-fee-increases-1539721232 |url-status=live }}{{Cite news |date=October 16, 2018 |title=SEC rules NYSE and Nasdaq did not justify data fee increases |work=Financial Times |url=https://www.ft.com/content/d0bacfb8-d185-11e8-a9f2-7574db66bcd5 |archive-url=https://ghostarchive.org/archive/20221210/https://www.ft.com/content/d0bacfb8-d185-11e8-a9f2-7574db66bcd5 |archive-date=December 10, 2022 |url-status=live |url-access=subscription}}{{Cite news |last=Michaels |first=Dave |date=October 19, 2018 |title=NYSE, Nasdaq Take It on the Chin in Washington |work=The Wall Street Journal |url=https://www.wsj.com/articles/nyse-nasdaq-take-it-on-the-chin-in-washington-1539941404 |url-access=subscription |issn=0099-9660 |access-date=October 19, 2018 |archive-date=October 19, 2018 |archive-url=https://web.archive.org/web/20181019204112/https://www.wsj.com/articles/nyse-nasdaq-take-it-on-the-chin-in-washington-1539941404 |url-status=live }}

In December 2020, NASDAQ announced that it would strip its indexes of four Chinese companies in response to Executive Order 13959.{{Cite news |last1=Singh |first1=Kanishka |last2=Kerber |first2=Ross |date=December 12, 2020 |title=Nasdaq to remove four Chinese companies' shares from indexes after U.S. order |language=en |work=Reuters |url=https://www.reuters.com/article/us-usa-china-indexes-idUSKBN28L2XW |access-date=December 16, 2020 |archive-date=December 14, 2020 |archive-url=https://web.archive.org/web/20201214132127/https://www.reuters.com/article/us-usa-china-indexes-idUSKBN28L2XW |url-status=live }}

In September 2024, the European Commission said it had carried out an unannounced inspection at the offices of Nasdaq over potential anti-competitive practices.{{Cite news |last=Asgari |first=Nikou |last2=Espinoza |first2=Javier |date=2024-09-24 |title=Nasdaq and Deutsche Börse raided in EU antitrust investigation |url=https://www.ft.com/content/5c090e7c-49b1-4747-98e6-d6478ff9217b |access-date=2024-11-12 |work=Financial Times}}

In March 2025 the NASDAQ announced plans to introduce 24-hour 5-day a week trading on its United States exchange sometime during the second half of 2026 in response to increased global demand for U.S. equities pending approval by the U.S. Securities and Exchange Commission.{{cite web |url=https://www.reuters.com/markets/us/nasdaq-plans-24-hour-trading-tap-into-growing-international-demand-2025-03-07/ |title=Nasdaq plans 24-hour trading as global appetite for US stocks grows |last=Saini |first=Manya |work=Reuters |date=March 7, 2025 |access-date=March 11, 2025}}

Contract specifications

Nasdaq 100 futures are traded on the CME (Chicago Mercantile Exchange) while its derivatives, E-Mini Nasdaq 100 and Micro E-Mini Nasdaq 100 futures are traded on the EMiniCME. Below are the contract specifications for the Nasdaq 100 and derivatives.

class="wikitable"

|+Contract Specifications

!Nasdaq 100 (NDA){{Cite web |title=Historical Nasdaq 100 Intraday Futures Data (NDA) |url=https://portaracqg.com/historical-futures-data/nasdaq-100-intraday-data-nda/ |access-date=April 29, 2022 |website=PortaraCQG |language=en-US |archive-date=April 29, 2022 |archive-url=https://web.archive.org/web/20220429145743/https://portaracqg.com/historical-futures-data/nasdaq-100-intraday-data-nda/ |url-status=live }}

!E-Mini Nasdaq 100 (NQ/ENQ){{Cite web |title=Historical E Mini Nasdaq 100 Intraday NQ/ENQ Futures Data |url=https://portaracqg.com/historical-futures-data/historical-e-mini-nasdaq-100-intraday-futures-data-nq/ |access-date=April 29, 2022 |website=PortaraCQG |language=en-US |archive-date=May 26, 2022 |archive-url=https://web.archive.org/web/20220526174219/https://portaracqg.com/historical-futures-data/historical-e-mini-nasdaq-100-intraday-futures-data-nq/ |url-status=live }}

!Micro E-Mini Nasdaq (MNQ){{Cite web |title=Historical Micro E-Mini Nasdaq 100 Intraday Data (MNQ) |url=https://portaracqg.com/historical-futures-data/historical-e-mini-nasdaq-100-intraday-futures-data-nq/ |access-date=September 15, 2022 |website=PortaraCQG |language=en-US |archive-date=October 4, 2022 |archive-url=https://web.archive.org/web/20221004232708/https://portaracqg.com/historical-futures-data/historical-e-mini-nasdaq-100-intraday-futures-data-nq/ |url-status=live }}

Contract Size:

|$100 X Nasdaq 100 Index

|$20 X Nasdaq 100 Index

|$2 X Nasdaq 100 Index

Exchange:

|CME

|EMiniCME

Sector:

|Index

Tick Size:

|0.25

Tick Value:

|25 USD

|5 USD

|0.5 USD

BPV:

|100

|20

Denomination:

|USD

Decimal Place:

Quote availability

Nasdaq quotes are available at three levels:

Level 1 shows the highest bid and lowest ask—inside quote.
Level 2 shows all public quotes of market makers together with information of market dealers wishing to buy or sell stock and recently executed orders.{{Cite web |title=Order Book, Level 2 Market Data, and Depth of Market |url=http://daytrading.about.com/od/daytradingglossary/a/OrderBook.htm |url-status=live |archive-url=https://web.archive.org/web/20110114070828/http://daytrading.about.com/od/daytradingglossary/a/OrderBook.htm |archive-date=January 14, 2011 |website=Daytrading. About.com }}
Level 3 is used by the market makers and allows them to enter their quotes and execute orders.{{Cite web |title=Nasdaq Level III Quote |url=http://www.investinganswers.com/financial-dictionary/stock-market/level-iii-quote-3276 |url-status=live |archive-url=https://web.archive.org/web/20140413124056/http://www.investinganswers.com/financial-dictionary/stock-market/level-iii-quote-3276 |archive-date=April 13, 2014 }}

Trading schedule

The Nasdaq Stock Market sessions, Eastern Time Zone are:

4:00 a.m. to 9:30 a.m.: extended-hours trading session (premarket)

9:30 a.m. to 4:00 p.m.: normal trading session

4:00 p.m. to 8:00 p.m.: extended-hours trading session (postmarket){{Cite web |title=Nasdaq Trading Schedule |url=http://www.nasdaq.com/about/trading-schedule.aspx |url-status=live |archive-url=https://web.archive.org/web/20140417000841/http://www.nasdaq.com/about/trading-schedule.aspx |archive-date=April 17, 2014 |website=Nasdaq.com }}

The Nasdaq Stock Market averages about 253 trading days per year.{{cite web | url = https://www.fool.com/research/stock-performance-recessions/ | publisher = The Motley Fool | title = Stock Performance in Recessions| access-date = 14 August 2024}}

Market tiers

The Nasdaq Stock Market has three different market tiers:

Capital Market (NASDAQ-CM small cap) is an equity market for companies that have relatively small levels of market capitalization. Listing requirements for such "small cap" companies are less stringent than for other Nasdaq markets that list larger companies with significantly higher market capitalization.{{Cite web |title=Definition of 'Nasdaq SmallCap Market', now known as Nasdaq Capital Market |url=https://www.investopedia.com/terms/n/nasdaq-smallcap-market.asp |url-status=live |archive-url=https://web.archive.org/web/20130804063221/http://www.investopedia.com/terms/n/nasdaq-smallcap-market.asp |archive-date=August 4, 2013 |publisher=Investopedia }}
Global Market (NASDAQ-GM mid cap) is made up of stocks that represent the Nasdaq Global Market. The Global Market consists of 1,450 stocks that meet Nasdaq's strict financial and liquidity requirements, and corporate governance standards. The Global Market is less exclusive than the Global Select Market.{{Cite web |title=Definition of 'Nasdaq Global Market Composite' |url=https://www.investopedia.com/terms/n/nqgm.asp |url-status=live |archive-url=https://web.archive.org/web/20130917082250/http://www.investopedia.com/terms/n/nqgm.asp |archive-date=September 17, 2013 |publisher=Investopedia }} It was formerly known as the National Market until July 1, 2006.{{cite press release |url=https://dfpi.ca.gov/wp-content/uploads/sites/337/2019/03/87c.pdf |title=Exemption from Qualification Requirements for Nasdaq Global Market and Nasdaq Capital Market Securities Under Corporations Code Section 25100(o) |publisher=State of California Business, Transportation and Housing Agency Department of Corporations California's Investment and Financing Authority |date=August 17, 2009 |access-date=January 20, 2025}}
Global Select Market (NASDAQ-GS large cap) is a market capitalization-weighted index made up of US-based and international stocks that represent the NASDAQ Global Select Market Composite (NQGS). The Global Select Market consists of 1,200 stocks that meet Nasdaq's strict financial and liquidity requirements and corporate governance standards. All components of the Nasdaq-100 and the Nasdaq Financial-100 indices are listed on the Global Select Market. The Global Select Market is more exclusive than the Global Market. Every October, the Nasdaq Listing Qualifications Department reviews the Global Market Composite to determine if any of its stocks have become eligible for listing on the Global Select Market.{{Cite web |title=Definition of 'Nasdaq Global Select Market Composite' |url=https://www.investopedia.com/terms/n/nqgs.asp |url-status=live |archive-url=https://web.archive.org/web/20131004025826/http://www.investopedia.com/terms/n/nqgs.asp |archive-date=October 4, 2013 |publisher=Investopedia }}{{Cite book |last1=Pinto |first1=Jerald E. |url=https://books.google.com/books?id=XCL9bkrOrpcC |title=Equity Asset Valuation |last2=Henry |first2=Elaine |last3=Robinson |first3=Thomas R. |last4=Stowe |first4=John D. |publisher=John Wiley & Sons |year=2010 |isbn=9780470579657 |edition=2 |series=CFA Institute Investment Series |volume=27 |page=6 |quote=[...] NASDAQ-GS stands for 'Nasdaq Global Select Market,' [...] |archive-url=https://web.archive.org/web/20130510182228/http://books.google.com/books?id=XCL9bkrOrpcC |archive-date=May 10, 2013 |url-status=live }}

Difference between NYSE and Nasdaq

After the NYSE, Nasdaq is the second largest stock exchange in the United States with a market capitalization of $19 trillion, which is about $5.5 trillion less than the NYSE as of 2021.{{Cite web|title=The New York Stock Exchange (NYSE)|url=https://www.forbes.com/advisor/investing/nyse-new-york-stock-exchange/|access-date=2023-12-07|work=www.forbes.com|archive-date=April 9, 2021|archive-url=https://web.archive.org/web/20210409150456/https://www.forbes.com/advisor/investing/nyse-new-york-stock-exchange/|url-status=live}}{{Cite web|title=10 Largest Stock Exchanges in the World|url=https://www.analyticssteps.com/blogs/10-largest-stock-exchanges-world|access-date=2023-12-07|work=www.analyticssteps.com|archive-date=March 4, 2024|archive-url=https://web.archive.org/web/20240304222510/https://www.analyticssteps.com/blogs/10-largest-stock-exchanges-world|url-status=live}}{{Cite web|title=Getting to Know the Stock Exchanges|url=https://www.investopedia.com/articles/basics/04/092404.asp|access-date=2023-12-07|work=www.investopedia.com|archive-date=February 21, 2024|archive-url=https://web.archive.org/web/20240221233923/https://www.investopedia.com/articles/basics/04/092404.asp|url-status=live}} Nasdaq is a much younger organization than the NYSE, having been founded in just 1971.{{Cite web|title=The NYSE and Nasdaq: How They Work|url=https://www.investopedia.com/articles/basics/03/103103.asp|access-date=2023-12-07|work=www.investopedia.com|archive-date=February 19, 2024|archive-url=https://web.archive.org/web/20240219175901/https://www.investopedia.com/articles/basics/03/103103.asp|url-status=live}}{{Cite web|title=The history of Nasdaq from creation in 1971 to the present|url=https://capital.com/the-history-of-nasdaq-from-creation-in-1971-to-the-present|access-date=2023-12-07|work=capital.com}} In addition to age and market capitalization, there are other key differences between the two exchanges:

Exchange systems. Before the COVID-19 pandemic, the NYSE maintained both an electronic trading system and a trading floor system staffed by live professionals who help conduct auctions.{{Cite web|title=The History of NYSE|url=https://www.nyse.com/history-of-nyse|access-date=2023-12-07|work=www.nyse.com|archive-date=January 29, 2024|archive-url=https://web.archive.org/web/20240129135305/https://www.nyse.com/history-of-nyse|url-status=live}}{{Cite web|title=What Is The NYSE?|url=https://www.wallstrank.com/learn/what-is-the-nyse|access-date=2023-12-07|work=www.wallstrank.com|archive-date=December 7, 2023|archive-url=https://web.archive.org/web/20231207204029/https://www.wallstrank.com/learn/what-is-the-nyse|url-status=live}} Nasdaq has been an all-electronic exchange since its inception.
Market Types. The NYSE uses an auction market to set prices, while Nasdaq uses a dealer market.{{Cite web|title=NYSE: What Is The New York Stock Exchange?|url=https://www.nasdaq.com/articles/nyse%3A-what-is-the-new-york-stock-exchange-2021-04-09|access-date=2023-12-07|work=www.nasdaq.com|archive-date=January 17, 2024|archive-url=https://web.archive.org/web/20240117043249/https://www.nasdaq.com/articles/nyse%3A-what-is-the-new-york-stock-exchange-2021-04-09|url-status=live}}{{Cite web|title=New York Stock Exchange (NYSE): Definition, How It Works, History|url=https://www.investopedia.com/terms/n/nyse.asp|access-date=2023-12-07|work=www.investopedia.com|archive-date=February 12, 2024|archive-url=https://web.archive.org/web/20240212014126/https://www.investopedia.com/terms/n/nyse.asp|url-status=live}} In the NYSE auction market, buyers and sellers submit competitive bids simultaneously. When the buyer's bid and the seller's request match, a transaction occurs. In the Nasdaq dealer market model, all prices are set by dealers. Dealers continually update bid (sell) and ask (buy) prices throughout the trading day.
Listing fees. There is a big difference in listing fees on the major stock exchanges. Listing fees on the Nasdaq range from $55,000 to $80,000 for the lowest tier of the capital market.{{Cite web|title=What is NASDAQ?|url=https://www.businessnewsdaily.com/3403-nasdaq.html|access-date=2023-12-07|work=www.businessnewsdaily.com|archive-date=March 11, 2018|archive-url=https://web.archive.org/web/20180311081215/https://www.businessnewsdaily.com/3403-nasdaq.html|url-status=live}}{{Cite web|title=How to buy American shares (2023)? - Investing on USA stock exchange|url=https://trading.info/american-shares/|access-date=2023-12-07|work=trading.info|archive-date=March 4, 2024|archive-url=https://web.archive.org/web/20240304205719/https://trading.info/american-shares/|url-status=live}} The NYSE is significantly more expensive, with the lowest listing fee of $150,000.
Sectors. Investors typically view the NYSE as an exchange for older, more established companies.{{Cite web|title=Nyse Vs Nasdaq: Whats The Difference|url=https://www.newyorkdaily.net/how-to-invest-in-new-york-stock-exchange/|access-date=2023-12-07|work=www.newyorkdaily.net|date=July 6, 2022 |archive-date=February 21, 2024|archive-url=https://web.archive.org/web/20240221044553/https://www.newyorkdaily.net/how-to-invest-in-new-york-stock-exchange/|url-status=live}} Nasdaq tends to be home to newer companies focused on technology and innovation, so some investors consider Nasdaq listings to be riskier.{{Cite web|title=Nasdaq 100 forecast: The US100 rebounds ahead of Fed meeting in December|url=https://capital.com/nasdaq-100-forecast|access-date=2023-12-07|work=capital.com}}